Difference Between Ordinary Bill and Money Bill

Edited by Diffzy | Updated on: July 03, 2023


Difference Between Ordinary Bill and Money Bill

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All legislative initiatives are introduced in Parliament as bills for debate. When a bill is enacted by both chambers of Parliament and signed by the President, it becomes an Act. The Speaker determines if a bill is ordinary or money.

Ordinary Bill vs Money Bill

An ordinary bill can be introduced for debate in either of the two houses of Parliament by a minister or a private member. A minister, on the other hand, presents a money bill for debate in the lower chamber of Parliament, the Lok Sabha.

Difference Between Ordinary Bill vs Money Bill in Tabular Form

Parameters of Comparison Ordinary Bill Money Bill
DefinitionAn ordinary bill is any bill that contains provisions that are not covered by the money bill, finance bill, ordinance replacement legislation, or constitution amendment bill.A money bill is a government bill that deals with money-related issues such as the imposition and repeal of taxes, borrowings, government spending, and so on.
IntroductionA minister or a private member introduces legislation in the Lower or Upper Houses of Parliament.Only a minister can introduce legislation in the Lower House of Parliament.
Recommendation of PresidentNot necessaryMandatory
Powers of President The President has the authority to adopt, reject, or return the bill for reconsideration.The law can be approved or rejected by the President.
Rajya SabhaIt has the authority to edit, reject, or recommend changes to the ordinary bill.It can simply provide suggestions regarding the budget
Period of HoldingThe money bill can be tabled in Rajya Sabha for a maximum of six months.The money bill can be tabled in Rajya Sabha for a maximum of 14 days.
Approval of SpeakerIf the bill is originally proposed in the Lower House, the speaker's consent is not required when it is transmitted to the Upper House.While moving it to the Upper House, it must be approved by the Speaker.
Joint SittingCan be held in case of deadlock.Cannot be held.

What is Ordinary Bill?

An ordinary bill is defined as a draft containing a proposed statute that must go through several stages before becoming an Act. It covers everything that isn't covered by the money bill, finance bill, ordinance replacement legislation, or constitution amendment bills. A private member or minister may propose it for debate in either of the two chambers.

Assume a measure is introduced in the lower house of Parliament and, following passage, it is forwarded to the Upper House, which may pass the bill or propose revisions and return it to the lower house within six months. When both houses agree on a bill, it is transmitted to the President for his signature. The President may offer his or her consent, withhold it, or return the bill for reconsideration.

If the two houses cannot agree, or if the bill is held by the other house for more than six months, the President calls a joint session of the two houses. The Joint Session is presided over by the Lok Sabha Speaker, and a simple majority is necessary to break the deadlock.

The "Speaker" has the right to change this situation. "Uniform limit of Ordinary Bills" that the Bill begins producing its discussion in the "parliament" by being distributed at least two days earlier "it is to be" orientated. The "MP in charge" of the "Bill" then demands a recess to present the Bill. It is presented if it is given. This is meant to be a reading of the "Bill," after which the "Bill" is sent to the "Standing Committee" for examination, and the respectable committee cannot accept the general argument on "the Bill." The approval is then given to the president, who must either reject or support it based on the review reason.

The term "ordinary bill" refers to a draft that is offered by either house of parliament and is approved by both houses. It is the type of proposal used to introduce measures legislatively. Regardless of the state's situation, it is entirely dependent on the various sorts of legislatures they have, whether they are unicameral or bicameral. Except for financial problems, these measures are primarily concerned with rules and regulations. Bills generally arrive as a "legislative proposal" that is to be produced as a term of law, and it must have arrived earlier than the "Parliament" in Bill's structure. These bills are focused on anything other than financial problems.

Characteristics of Ordinary Bill

  • Articles 107 and 108 of the Indian constitution provide that the ordinary bill is concerned with topics other than financial property.
  • This bill may be introduced in either chamber of parliament.
  • The upper house has the right to ignore or amend this bill.
  • If the measure was passed by the lower house of the Indian parliament, the upper house cannot deny it for more than six months.
  • Following acceptance from either the House or both Houses, this law is sent to the President for his official signature.
  • The President has the authority to reject or refer this bill to a committee for study.

Types of Ordinary Bills

  • The government bill and the "private member bill" are the two types of bills that rely on it. Ordinary Bills, Money Bills, Financial Bills, and "Constitutional Amendment Bills" are the four types of bills in this portion of the government bill. These Bills are introduced in parliament for the benefit of the people and their country, as well as its growth and development in comparison to other countries.
  • "Private member bill" refers to a member of the respected parliament who does not possess any specific ministerial position in the government, and it is the type of bill that is notably present on Friday.
  • Ordinary bill: This measure does not require the president's approval and can be passed by either the house or both of the house's recommendations. The first property of this measure is that it will deal with specific components other than financial property.
  • Money bill: In general, this bill is related to the regulation or modification of any sort of tax, remission, imposition, or abolition in parliament. The government borrows money from the country's treasury with the help of this law. To be enacted in the country, this bill always requires the president's consent.
  • Finance Bill: This bill is always presented as a "non-monetary" difficulty in the country's monetary expansion. This is the same as the money bill in that it is proposed by the lower house and requires the President's assent. This bill was likewise rejected by the "lower house" and may be submitted to the president for approval.
  • "Constitutional Amendment Bill": This bill proposes that one or more provisions of the country's constitution be changed. This bill likewise does not necessitate the approval of the president in question. This measure connects the administrations between "the Centre" and "the States," and it must be approved by at least "half" of the affected states.

What is Money Bill?

A money bill is a measure that contains proposed legislation dealing with the imposition and repeal of taxes, borrowings, money appropriation from the consolidated fund, audit, accounting, and so on. These measures can only be brought for debate in the House of People, i.e. the Lok Sabha, by a minister.

After the lower house passes the law, it is sent to the Upper House or House of States, i.e. Rajya Sabha, which can only approve or make amendments to the bill and has no power to reject it. Following that, the bill must be returned to the lower house within fourteen days of its reception.

It is now up to the lower house to approve or reject the Upper House's recommendations. If the Lower House approves the recommendation, the law is deemed to have been passed by both houses. If the proposals are not accepted by the Lower House, it is considered to have been passed by both houses.

According to the Constitution, a money bill comprises the imposition, abolition, remission, alteration, or regulation of any tax. Local taxes, on the other hand, are not covered by the budget.

The Indian Constitution specifies a methodical procedure for converting a bill into an act.

  • The Role of the Lok Sabha in the Budget Bill: A money bill can be introduced immediately in the Lok Sabha, Parliament's lower house. Prior consent from the President is required before proposing a money bill in Lok Sabha. After being passed by the Lok Sabha, it was submitted to Rajya Sabha. If the Bill fails to win a majority in the Lok Sabha, the ruling government is termed defeated.
  • Veto Authority and the Money Bill: A cash bill cannot be introduced in Lok Sabha without the President's prior approval. Furthermore, if the Bill is passed by both chambers and delivered to the President for his approval, he cannot return it to Lok Sabha for reexamination because it was tabled in Lok Sabha with his approval. As a result, the President is unable to exercise his veto power over appropriations measures. At every stage, the Speaker's decision is definitive.

The money bill is concerned with money and has three readings:

  • The first reading
  • The second reading
  • The third reading

Characteristics of Money Bill

  • It administers the association government's tax collection, consumption, and credits, as well as combined reserves, among other things.
  • It could very well be introduced in Lok Sabha. The President's recommendation is required.
  • The Money bill can be presented and passed by a minister.
  • A Money bill can be approved by the Speaker, and the Speaker's decision is final.
  • The Bill cannot be changed by the Rajya Sabha. It can make suggestions for changes.
  • Rajya Sabha has to send the Bill to Lok Sabha in no less than 14 days.

Types of Money Bills

Cash bills are classified into two types:

  • Appropriation Act:The Appropriation Bill is discussed under Article 114 of the Indian Constitution. This Bill empowers the public authority to use the combined asset assets within a fiscal year.
  • The Finance Bill: This Bill is introduced in Lok Sabha immediately after the introduction of the association's financial plan to make the public authority's monetary arrangements usable for the following fiscal year. All money bills are cash bills; however, the Finance Bill is distinguished under Rule 219 of the Lok Sabha Rules and Procedures.

Main Differences Between Ordinary Bill and Money Bills in Points

The distinction between an ordinary bill and a money bill can be identified on the following grounds:

  • Ordinary bills are defined as any bill that addresses issues other than those addressed by money bills, finance bills, ordinance replacement bills, and constitution amendment legislation. A money bill, on the other hand, denotes a bill that deals with money, such as the imposition, modification, and repeal of taxes, government expenditures, consolidated finances, borrowings, and so on.
  • Ordinary bills are introduced in either chamber of Parliament by a minister or a private member. A money bill, on the other hand, is introduced in the lower chamber of Parliament by a single minister.
  • The President does not suggest ordinary bills, whereas money bills require the President's recommendation.
  • When it comes to the money bill, the President has only two options: accept or reject it. Unlike a regular bill, which the President can accept, reject, or return for reconsideration.
  • The Rajya Sabha has the authority to amend or reject the ordinary bill. It can, however, only make recommendations to the money bill and cannot reject it.
  • An ordinary bill can be detained by the other house of Parliament for a maximum of six months. The Rajya Sabha, on the other hand, can retain the money bill for a maximum of 14 days.
  • If the measure is first introduced in the Lok Sabha before being transferred to the Rajya Sabha, the Speaker's certification is not required. A money measure, on the other hand, requires the Speaker's assent.
  • In the case of an ordinary bill, a deadlock situation might occur when the two houses disagree or when the other house keeps the measure for longer than six months. On the contrary, there is no possibility of a stalemate in the case of a money measure, hence there is no joint sitting of the two chambers.

A money bill considers money matters, whereas an ordinary bill might be any measure that does not cover affairs relating to money, finance, amendment, or replacement of any bill. In general, the provisions of the two measures differ in terms of introduction, recommendation, holding duration, joint sitting, and so on.


  • https://www.legalserviceindia.com/legal/article-1782-types-of-bills-in-india.html
  • https://rajyasabha.nic.in/rsnew/legislation/introduction.asp
  • https://testbook.com/key-differences/difference-between-ordinary-bill-and-money-bill
  • https://www.business-standard.com/podcast/finance/what-is-money-bill-122012600093_1.html



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"Difference Between Ordinary Bill and Money Bill." Diffzy.com, 2024. Fri. 14 Jun. 2024. <https://www.diffzy.com/article/difference-between-ordinary-bill-and-money-bill>.

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